Chrysler hopes to refinance and pay off government loans - KWWL - Eastern Iowa Breaking News, Weather, Closings

Chrysler hopes to refinance and pay off government loans

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DETROIT (AP) -- Chrysler CEO Sergio Marchionne says the company will try to refinance its government loans this year as it prepares for an initial public stock offering.

He says the company can post a net profit for the first time since emerging from bankruptcy protection if it gets more favorable financing terms.  Chrysler owes the U.S. government $5.8 billion and the Canadian government $1.6 billion. The money is part of a $12.5 billion loan package that funded Chrysler's bankruptcy in 2009.

Marchionne also is CEO of Italian car company Fiat. He told reporters Monday at the Detroit auto show that Fiat's industrial unit is interested in buying Volkswagen's interest in the MAN and Scania commercial truck units and is not interested in selling Alfa Romeo to Volkswagen.

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